Small credit union in Colorado set for merger
Two Colorado credit unions have announced their plans to merge.
The members of $26 million-asset Pueblo Horizons Federal Credit Union in Pueblo, Col. – which does business as Horizons FCU – have voted in favor of a merger with Premier Members CU. The combined institution will operate as Premier Members Credit Union and PMCU CEO Carlos Pacheco will serve as chief executive officer.
Full integration is expected to take place over the next few months and Horizons will operate under its current name until that process has been completed. The combined institution will have more than $1.2 billion in assets and serve over 76,000 members.
“We’re very grateful and excited to receive this final approval from our members,” said Don Ortega, CEO of Horizons FCU. “We look forward to the opportunity to serve our new combined membership in Pueblo, and begin offering improved rates, products, and services.”
All Horizons staff are expected to be retained, according to a statement from the credit union, and Ortega will become PMCU's president of Pueblo County.
This deal is the latest growth step for Premier Members, following a move last summer that added three new counties to its field of membership. Once the merger is completed, PMCU will operate 19 branches in 10 cities.
“This merger will benefit both credit unions by expanding offerings and locations to the combined membership,” said Mark Gisi, Chairman of the Premier Members Board. “With greater resources, we can provide increased membership value.”
Like many small credit unions, Horizons FCU has struggled with profitability in recent years. It posted a loss of nearly $150,000 at the close of Q3 2019, the most recent data available, though that was an improvement from a loss of nearly $200,000 during the same period in 2018.
For its part, PMCU posted $7.8 million in net income during the first three quarters of 2019, down from $9 million one year prior.
This story was updated at 4:37 P.M. on Jan. 7, 2020.